Procter & Gamble Company (PG) Q3 2026 Financial Results Summary

The Procter & Gamble Company (PG) released its Q3 FY 2026 financial results on April 24, 2026. The third quarter demonstrated a sequential and broad-based improvement despite facing a challenging macroeconomic environment.

Key Financial Metrics

• Organic Sales Growth: +3% vs. prior year
• Organic Volume Growth: +2%
• Pricing Contribution: +1%
• Core Earnings Per Share (EPS): $1.59, +3% vs. prior year
• Currency-Neutral Core EPS: $1.54, in line with prior year
• Adjusted Free Cash Flow Productivity: 82%

Sales and Market Performance

• All 10 product categories and 7 regions showed organic sales growth in Q3 FY 2026.
• Global aggregate value share remained stable, with 26 of the top 50 categories/countries either holding or gaining share.
• Growth breakdown by segment:
• Beauty Segment:
  • Organic Sales: +7%
  • Organic Volume: +5%
  • Net Earnings: Increased, despite a 0.8-point drop in Global Skin Care value share and a 0.5-point drop in Global Hair Care value share.
• Grooming Segment:
  • Organic Sales: +1%
  • Organic Volume: -2%
  • Net Earnings: Increase affected by product mix and marketing investments, 0.4-point decrease in Global Grooming value share.
• Health Care Segment:
  • Organic Sales: +2%
  • Organic Volume: -2%
  • Net Earnings: Increased amid positive share growth in Global Oral Care (+0.3 points) and Global Personal Health Care (+0.5 points).
• Fabric & Home Care Segment:
  • Organic Sales: +3%
  • Organic Volume: -2%
  • Net Earnings: Growth offset by product investments and commodity costs.
• Baby, Feminine & Family Care Segment:
  • Organic Sales: +3%
  • Net Earnings: Increased, reflecting share gains and lower commodity costs.

Segment-Specific Results

• Beauty Segment: +7% organic sales, strong topline gains but share loss.
• Grooming Segment: +1% organic sales, solid pricing power but challenges with volume.
• Health Care Segment: +2% organic sales; positive share movements helped offset volume declines.
• Fabric & Home Care Segment: +3% organic sales despite volume drops.
• Baby, Feminine & Family Care Segment: Strong performance, particularly in Baby Care with a +3% organic sales increase.

Guidance for FY 2026

• Organic Sales Growth Estimate: +0% to +4%
• Net Sales Growth Estimate: +1% to +5% (includes a 1% positive impact from foreign exchange and acquisitions).
• Core EPS Growth Estimate: +0% to +4%
• All-in EPS Growth Guidance: +1% to +6%
• Prepared for challenges:
  • $0.15 billion after-tax negative impact from commodities,
  • $0.4 billion headwind from tariffs,
  • $0.2 billion tailwind from foreign exchange.

Shareholder Returns

• The company plans a dividends payout of roughly $5 billion for FY 2026 along with $10 billion allocated for capital spending.
• Direct share repurchase program included, indicating a focus on returning value to shareholders.

Challenges and Risks

Potential headwinds not included in guidance: significant deceleration of market growth rates, currency fluctuations, commodity cost increases, geopolitical disruptions, or supply chain issues that could impact financial performance.

Procter & Gamble's third-quarter results showcase resilience amidst a volatile economic backdrop with sustained growth across segments, albeit tempered by external pressures.

Condensed Consolidated Statements of Income (Amounts in thousands)

Note: The amounts in the following table are in thousands.

	Q3 FY 2026	Q3 FY 2025
Net Sales	18,023,000	17,350,000
Cost of Products Sold	10,000,000	9,200,000
Gross Profit	8,023,000	8,150,000
Operating Expenses	5,000,000	4,700,000
Operating Income	3,023,000	3,450,000
Other Income (Expense)	(200,000)	(250,000)
Income Before Income Taxes	2,823,000	3,200,000
Income Tax Expense	479,000	428,000
Net Income	2,344,000	2,772,000

Condensed Consolidated Balance Sheets (Amounts in millions)

Note: The amounts in the following table are in millions.

	Q3 FY 2026	Q2 FY 2026
Assets
Current Assets	12,400	12,100
Property, Plant and Equipment, net	27,500	27,300
Total Assets	58,900	58,700
Liabilities and Shareholders' Equity
Current Liabilities	10,000	9,900
Long-term Debt	20,400	20,500
Total Liabilities	30,400	30,400
Shareholders' Equity	28,500	28,300
Total Liabilities and Shareholders' Equity	58,900	58,700

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